Cheap New Mexico Car Insurance

Compare the best rates from 31 car insurance companies in New Mexico.

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Here's what you need to know when driving in New Mexico

Across the Land of Enchantment, there are 142,940 miles of road just waiting to be driven. We’ll get you prepped, then you take the wheel.


Affordable Insurance Premiums in New Mexico

What's the cheapest car insurance in New Mexico?
RankCompany NameAvg. Annual Premium
3State Farm$1,063
6The Hartford$1,339
8Cal Casualty$1,607

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Cheap Insurance for Good Drivers in New Mexico

Drivers with good driving records typically enjoy lower car insurance costs than drivers with histories of speeding tickets, at-fault accidents, or DUI citations. New Mexico drivers without a recent moving violation can save 15% on their car insurance premiums, on average — compared to the national average of 17%. In addition to earning a cheaper premium for driving incident-free, you may qualify for a safe-driving bonus through your car insurance company. The amount of these discounts may vary, but they typically run between 5 and 10%.

Rating Factor$ Savings% Savings
No Traffic Tickets$24715.78%
No Accidents$65533.19%
Good Credit$87940.01%

Cheap Insurance for Young Drivers in New Mexico

Young drivers (those between the ages of 16 and 25) pay extraordinarily high auto insurance rates, with those aged 16-19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teens pay more than three times the national average for car insurance. In New Mexico, the typical teen driver pays $4,996 per year, which aligns closely with the national average for all teen drivers.

AgeAnnual Rate with ParentsAnnual Rate Alone

Cheap Car Insurance for Bad Drivers in New Mexico

If you have a clean driving record — no at-fault accidents, speeding tickets, DUIs, or other recent citations — you'll probably pay less for car insurance. Conversely, a bad driving record will cause your rates to skyrocket: car insurance premiums typically increase by 34% after a DUI, 33% after an at-fault accident, and 15% after a speeding ticket in New Mexico. The post-citation penalties assessed by car insurance companies after DUI violations and at-fault accidents in New Mexico align with nationwide averages, but drivers enjoy lower-than-average rate hikes after speeding tickets. If you have a clean driving record, be sure to check for good-driving discounts from your insurer.

Rating FactorAnnual Rate% Increase
At-Fault Accident$1,97233.19%
Speeding Violation$1,56415.78%
Bad Credit$2,19640.01%

Best Car Insurance Companies in New Mexico

Each car insurer emphasizes its low premiums. But as with any product or service, the cheapest car insurance isn't always the best choice. Considering the financial stakes, it's worth doing your homework to find an auto policy that will cover your car completely after an incident. Hunt for the best value, instead of settling for the cheapest auto insurance you can find.

Compare major auto insurance companies' financial strength and claims satisfaction ratings to better predict the quality of service you'll receive. Claims satisfaction — assigned by J.D. Power — is rated on a scale of 2 to 5, with 5 being "among the best" and 2 being "the rest." Financial strength — calculated by A.M. Best and ranging from "Superior" to "Poor" — assesses an insurer's financial strength and ability to meet its contractual and policy obligations.

Insurance CompanyClaims Satisfaction (J.D. Power)Financial Strength (A.M. Best)
Cal CasualtyNot RatedExcellent
Central MutualNot RatedExcellent
EncompassNot RatedSuperior
Liberty Mutual3Excellent
SentryNot RatedSuperior
State Farm3Superior
The Hartford4Excellent


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What car insurance coverage should you get in New Mexico?

The minimum required insurance level in New Mexico is $25,000 Bodily Injury per person, $50,000 Bodily Injury per accident, and $10,000 Property Damage per accident.

For the legal minimum coverage level in New Mexico, expect to pay an average of $609 each year. This average cost is cheaper than the U.S. average by 7%. If you opt for better coverage, you can purchase a policy with comprehensive and collision coverage, which will protect against damages caused by car collisions, theft, vandalism, or weather incidents. Better auto insurance comes at a cost: in New Mexico, a comprehensive policy with a $1,000 deductible runs $1,188, 95% more than liability-only coverage. For a comprehensive policy with a $500 deductible, expect to pay 119% more than you might for a liability-only policy.

Compare usual premiums for basic, better, and best coverage levels below.

LocationLiability-OnlyComprehensive — $1,000 DeductibleComprehensive — $500 Deductible
New Mexico$609.20$1,188.40$1,333.94
National Average$657.66$1,241.26$1,397.94

New Mexico Auto Insurance Laws

State minimum insurance requirements in New Mexico

In New Mexico, drivers are required to maintain liability insurance coverage at or above the below levels:

  • Bodily Injury $25,000 per person
  • Bodily Injury $50,000 per accident
  • Property Damage $10,000 per accident
Optional coverage in New Mexico (varies by carrier):
  • Comprehensive
  • Collision
  • Loan/Lease Payoff
  • Medical Payments
  • Rental Car Reimbursement
  • Roadside Assistance
  • Uninsured/Underinsured Motorist Bodily Injury
  • Uninsured Motorist Property Damage

Learn more about car insurance laws in New Mexico.

Driving Laws in New Mexico

New Mexico Texting and Driving Laws

  1. Ban on hand-held cell phones in State vehicles
  2. Ban on all cell phones for drivers with Permit or Provisional Licenses
  3. Ban on text messaging for all drivers

New Mexico DUI Laws

There is a 10-year lookback period in New Mexico. Multiple DWI offenses in this timeframe result in longer and harsher penalties.

The first three DWI offenses in New Mexico are misdemeanors. Any DWI offenses after the third are considered felonies.

In addition, it is possible to commit an “aggravated DWI” in New Mexico. If a driver’s BAC is 0.16% or higher, additional mandatory jail time will be added to their sentence.

First-time DWI offenses in New Mexico lead to:

  • Up to 90 days in jail
  • Up to $500 in fines
  • License revocation for six months to one year
  • Must install and use an ignition interlock device for one year
  • Mandatory alcohol evaluation
  • Mandatory attendance in DWI school
  • Mandatory 24 hours of community service
  • Possibility of a discretionary $300 fine
  • Possible requirement to submit to treatment

Ticket Impact on Auto Insurance Rates in New Mexico

If you get a ticket, your car insurance rates will probably rise. By how much depends on the severity of the violation, your insurer's pricing standards, and differing local insurance risks and regulations. That's why tickets may have a different impact on insurance in your state compared to the national average.

Below is a snapshot of average car insurance rates in New Mexico after a few common violations.

ViolationAvg. Annual Auto Insurance Rate% Insurance Rate Increase$ Insurance Rate Increase
Hit and Run$2,23966%$887
Refused Breathalyzer/Chemical Test$2,05452%$703
Reckless Driving$2,02850%$676
Driving with a Suspended License$1,92943%$578
At-Fault Accident$1,92743%$575
Driving with an Open Container$1,59818%$246
Operating a Vehicle Without Permission$1,71727%$365
Passing a School Bus$1,71227%$361
Improper Passing$1,68425%$332
Following Too Closely$1,68425%$332
Failure to Stop at a Red Light$1,68425%$332
Illegal Turn$1,68525%$334
Driving Wrong Way/Wrong Lane$1,68425%$332
Failure to Yield$1,68425%$332
Speeding in a School Zone$1,64922%$297
Driving Too Slowly$1,64822%$296
Distracted Driving$1,66323%$312
Driving with Expired Registration$1,4709%$119
Failure to Show Documents$1,4709%$119
Not-at-Fault Accident$1,4809%$128
Failure to Use Child Safety Restraint$1,4709%$119
Failure to Wear a Seat Belt$1,4709%$119
Driving Without Lights$1,4406%$88

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New Mexico Car Insurance FAQs

Is New Mexico a no-fault state for car insurance?

No. New Mexico is an at-fault state, meaning all drivers are responsible for any damage they cause.

Do you need car liability insurance in New Mexico?

Yes. Car insurance is a legal requirement in New Mexico if you have a vehicle registered and parked on public streets.

What car insurance is needed in New Mexico?

You need to maintain at least the state's minimum requirements of 25/50/10 coverage. If you have a loan or lease on the vehicle, you may need to purchase additional coverage.

How much does car insurance cost in New Mexico cities?

Car insurance companies calculate your rate based on many factors, location of the vehicle being an important one. The cheapest car insurance is found in Alamogordo, New Mexico, and the most expensive in Albuquerque, New Mexico.

RankCityAvg. Annual Premium
2Rio Rancho$1,432
7Santa Fe$1,356
9Las Vegas$1,342
12Sunland Park$1,281
13Los Alamos$1,277
17Las Cruces$1,216
19Silver City$1,195

Recent New Mexico Car Insurance Questions and Answers

Can insurers share claim payout information?

The C.L.U.E. report is used by many insurance companies to report claims.

Can insured party use their own coverage after not-at-fault accident?

I don't really have any resources for you. The uninsured driver who is at fault in the accident will be responsible for the damages.

If I started a claim with my insurance company but later decided to settle out of pocket with the other driver, will my rate still be impacted?

Unfortunately once the insurance company has been notified of a crash the information will be documented on the CLUE report of the driver involved in the accident. Since there is no way to say with any certainty how the incident will impact your rate, as that decision is ultimately up to Geico, proceeding with the claim or dropping it will not change the end result concerning your rate.

Will my rate go up for filing a claim even if I have accident forgiveness?

It really will depend on how your previous accident was categorized. If you were considered to be at fault in the previous crash then your accident forgiveness was likely used during that particular claim.

New Mexico Tour Guide Scholarship

At The Zebra, we know better than most just what a pain buying car insurance can be. We also know that students suffer from higher-than-average policy rates. Talk about a double-whammy. That’s why, this year, we’ve decided to continue The Zebra’s annual scholarship with the goal of helping to alleviate the financial pressures of college-bound students in the New Mexico area, while also getting an insider view of the Land of Enchantment.


So, students, we want to see your favorite road trip destination(s) in your state— from your unique perspective. If it makes sense to hit the open road and be our virtual tour guide, that's great! But there are no limits to what we're looking for: a narrated animation, a slideshow of memorabilia, an illustrated map of the best roadside attractions on the way. This is a chance for you to showcase any place you love in as an original way as possible.

How do I choose a location?

The length of the road trip to your feature destination is inconsequential. So if you have an awesome spot in mind that's just two miles from home, we want to see it.


Applicants must be currently enrolled at or planning to attend a four-year university, graduate program, community college, or trade school located in the continental United States. Upon notification, winner(s) must supply a current proof of enrollment or letter of acceptance.

How to Apply
1. Create a video

Your original video should not exceed 2 minutes

2. Post online

The video must be hosted on YouTube or Vimeo

3. Submit by email

Email your submission to

4. Please include...

your name, address, and phone number when you submit


Selected winner(s) will be awarded a check for $1,000


Applications must be received by 11:59 p.m. CST on December 31st, 2020


Winner(s) will be selected and notified by email by January 31st, 2021

Judges: The Zebra

The winner will be selected based on creativity in the content and presentation

*Upon notification, winner(s) must also supply a current proof of enrollment at a four-year university, graduate program, community college, or trade school located in the continental United States.

Fine Print

By participating, entrants represent that the video submitted is their sole and original work and does not infringe the intellectual property rights of any other party. In other words, no copyrighted music or images may be used.

Employees of The Zebra and their immediate family members are not eligible to participate in the contest.

Written credits for any technical or talent positions (e.g., editor, director, actors) should be included with your submission, along with any sources used to create the video.

Ross Martin LinkedIn

As a licensed insurance agent, Ross is responsible for researching and writing about all matters related to auto and home insurance. He has a background in writing and education, as well as a master's degree from Royal Holloway, University of London. He has been quoted by CNET,, and Kin Insurance.